Bitcoin News Today: Bitcoin Cash Surges 8% as Whale Activity Jumps 97.77% Amid Trendline Test

Bitcoin Cash (BCH) has surged 8% amid renewed buying pressure, retesting a critical descending trendline that historically has preceded sharp corrections. The price action has drawn attention to whether buyers can push the asset above $565 to confirm a breakout, potentially reversing a pattern that previously triggered over 50% drawdowns [1]. Whale activity has spiked 97.77% to 1.69 million BCH, marking the highest level since mid-2024, while the weekly RSI at 64 remains below the overbought threshold of 70, suggesting room for further gains if demand persists [1]. However, exchange inflows exceeding $4.65 million in 24 hours have raised caution, as such movements often correlate with profit-taking or bearish preparation [1].

The trendline currently under scrutiny has historically acted as a catalyst for major declines. A sustained close above $565 could signal bullish momentum, with analysts noting that historical patterns suggest a potential 15–30% gain if the level holds [1]. Conversely, another rejection at this level risks repeating past sharp corrections, underscoring the pivotal nature of the upcoming price action. Whale transactions, now concentrated at 1.69 million BCH, indicate growing institutional or high-net-worth investor involvement, a factor often tied to significant market shifts in crypto [1].

While the RSI’s neutral reading supports the possibility of continued upward movement, the elevated exchange inflows introduce ambiguity. Large inflows into exchanges typically precede selling activity, particularly near psychologically significant resistance levels like $565. This duality—strong buyer interest versus potential profit-taking—frames the current market dynamics. The interplay between whale-driven demand and exchange-level liquidity will likely determine the trajectory over the next 7–10 days.

The surge in whale activity contrasts with broader market sentiment. Despite the 8% rally, the asset remains within a consolidation phase, with its weekly RSI failing to enter overbought territory. This suggests that while short-term optimism is building, the market has not yet reached a point of exhaustion. Investors are advised to monitor $565 as a key inflection point, with a breakout potentially unlocking new buying opportunities and a breakdown re-igniting bearish sentiment.

Technical indicators and on-chain data reinforce the high-stakes nature of the current scenario. Whale transactions exceeding 1.69 million BCH represent a 97.77% increase in a single week, a metric often used to gauge institutional positioning in crypto markets. Meanwhile, the $4.65 million in exchange inflows highlights the balance between speculative activity and risk mitigation. Traders are urged to weigh these signals against broader macroeconomic conditions, though the immediate focus remains on the trendline’s resolution.

Sources:

[1] [Bitcoin Cash Shows Renewed Momentum as Trendline Test and Whale Activity Suggest Possible Upside Potential] (https://en.coinotag.com/bitcoin-cash-shows-renewed-momentum-as-trendline-test-and-whale-activity-suggest-possible-upside-potential/)